Time Release Study. Toshihiko Osawa Technical Officer Compliance & Facilitation Directorate World Customs Organization
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1 Time Release Study Toshihiko Osawa Technical Officer Compliance & Facilitation Directorate World Customs Organization
2 Requirements of the Trade Facilitation Agreement ARTICLE 7: RELEASE AND CLEARANCE OF GOODS 7.6 Establishment and Publication of Average Release Times Members are encouraged to measure and publish their average release time of goods periodically and in a consistent manner, using tools such as, inter alia, the Time Release Study of the World Customs Organization.
3 Five key objectives of TRS 1. Identifying bottlenecks in the international supply chain and/or constraints affecting Customs release 2. Assessing newly introduced and modified techniques, procedures, technologies and infrastructure, or administrative changes 3. Establishing baseline trade facilitation performance measurement 4. Identifying opportunities for trade facilitation improvements 5. Estimating the country s approximate comparative position as a benchmark tool
4 Scope of Time Release Study Shipping company Shipping agent Port Authority, etc. Importer, Customs broker Container Yard OGAs, etc. Customs, Bank, Customs broker Port Authority Container Yard Warehouse, Forwarder, etc. Arrival of cargo Unloading /Storage Submission of Declaration Customs release permission Removal of cargo 4
5 Three phases of TRS Phase 1 Preparation of the Study Phase 2 Collection and Recording of Data Phase 3 Analysis of Data and Conclusions
6 Important Approaches for TRS 1. Coordinated Border Management Approach 2. Customs-Business Partnership Approach 3. Customs to Customs Cooperation Approach
7 TRS Implementation by Members Australia Bhutan Brunei China Fiji India Indonesia Japan Korea Asia Pacific Africa Other Lao PDR Malaysia Mongolia Côte d'ivoire Ethiopia Kenya New Zealand Mozambique PNG Philippines Singapore Thailand Viet Nam Niger Rwanda Tanzania Uganda Zambia Jamaica Jordan Peru Poland Sweden Uzbekistan International EAC
8 Example of TRS - Japan Parallel document check Interface with OGA s system & Immediate permission upon arrival Simplified Import Declaration & 1 st Single Window AEO Program & 2 nd Single Window Pre-Arrival Documentary Examination Arrival-Warehousing Warehousing-Declaration Declaration-Permission (Hours)
9 Press Release from MOF (21 Sep 2012) Press Release Daily Cargo (24 Sep 2012) The Japan Maritime Daily (26 Sep 2012)
10 Example of TRS for Transit Kenya - Uganda
11 TRS and Transit (Kenya - Uganda) Procedures Process Intervals Avarage time Mombasa Mombasa to Malaba Arrival of Vessel to KPA releases Cargo at Exit Gate - Mombasa Port KPA releases Cargo at Exit Gate - Mombasa Port to Arrival of Truck at the queue atthe Upper Gate - Malaba (Kenya 10d 18h 4m 3d 18h 38m Malaba-Kenya Arrival of Truck at the queue at the Upper Gate - Malaba (Kenya) to Arrival of Truck at Lower Gate Malaba (Uganda) 0d 5h 5m Malaba-Uganda Arrival of Truck at the Lower Gate to Departure of Truck from UppMalaba (Uganda)er Gate 0d 20h 41m
12 TRS and Transit (Kenya - Uganda) Key Observations 1. Total time from Mombasa Port to physical release of goods in Kampala is about 18 days of which the process at Mombasa Port takes about 11 days. 2. Despite the fact that 86% of the manifests are lodged at an average of four (4) days before the arrival of a vessel; however, 88% percent of Customs declarations are lodged at an average of 6 days after the arrival of the vessel. 3. Transit cargo from Mombasa to Mariakani weighbridge, a distance of 36 kilometers, takes about 1 day. 4. It takes 5 hours for a truck to leave Malaba after the release by Customs. 5. The processing time at weighbridges is minimal.
13 TRS and Transit (Kenya - Uganda) Key Recommendations Clearing Agents (Customs brokers) should utilise the prearrival lodgement facility. Re-engineer and harmonize processes at the major cargo clearance points. Implement electronic single window systems to facilitate electronic data interchange. Improve infrastructure, particularly, at the Malaba border. Synchronize administrative arrangements of key agencies involved in cargo clearance process to work 24 hours.
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